As part of Project Polaris, the BIS Innovation Hub Nordic Centre today published a comprehensive handbook exploring key aspects of how central bank digital currencies could be used for offline payment services. The ability to make offline payments means being able to use a CBDC without an internet connection, either temporarily or due to coverage limitations. Central banks considering the potential implementation of a CBDC with offline functionality must consider a range of complex issues, including security, privacy, possible risks, type of solution, maturity and applicability, and operational considerations.
The handbook, prepared by the BIS Innovation Hub Nordic Centre in collaboration with Consult Hyperion, addresses these issues, as well as goals for resilience, inclusion, cash-likeness, accessibility and other desired attributes. Across several workstreams, Project Polaris will provide central banks with the essential information they need to make decisions, architect, design, implement plans and invest. It will also address longer-term changes and operational considerations. (Finextra)